Different Types of Property and Debts in Bankruptcy

Understanding Bankruptcy: The Different Types of Property and Debts in Bankruptcy

The Different Types of Property and Debts in Bankruptcy

Filing for bankruptcy is no easy task. There are many steps necessary in order to successfully file for bankruptcy, which is why it is always recommended to work with an experienced lawyer. With that being said it is helpful to know the terminology used in bankruptcy. At The Law Offices of Nicholas J Del Pizzo, we have compiled a list of the different types of property and debts in bankruptcy and the differences between them. 

Understanding Bankruptcy: The Different Types of Property and Debts in Bankruptcy

If a person does not hire a bankruptcy lawyer to help them in their case, it is often due to fear of the fees associated with it. However, you have to remember the benefits of filing with a bankruptcy lawyer in Baltimore. The role of your lawyer is to help you with the following:

  • Filing the petition correctly
  • Evaluating your financial situation and guiding you in the choice of chapters
  • Attending the 341 meeting on your behalf
  • Negotiating with your creditors and keeping tabs on court proceedings
  • Ensuring that your case moves properly through the court system and is discharged successfully

Understanding the role of the court-appointed trustee

When you file a petition in court for bankruptcy, the court will appoint you a trustee. This person will be responsible for examining your finances, seeing that you do not perform anything that will attract penalties, and reviewing your assets. They will also determine whether or not your property is exempt or non-exempt.

Understanding what is an exempt property

Exempt property includes a vehicle up to a certain value, a portion of the equity in your home, any property like your shop or office that is your primary source of income, household appliances, furnishings, and other goods that are essential, and jewelry up to a certain value.

Types of Debts

Debts can be dischargeable and non-dischargeable. Dischargeable debts are medical bills, credit card debts, retail store card debt, and personal loans. Non-dischargeable debts are recent tax debts, student loans, alimony, and child support. You must know what type of debts you are in. Say, if you have a due student loan or alimony, then it is useless filing for bankruptcy. You will still need to pay these debts.

If you have a mounting credit card bill or personal loan, then filing for bankruptcy can help you. It will wipe off these debts.

About The Law Offices of Nicholas J Del Pizzo

 At The Law Offices of Nicholas J. Del Pizzo, III P.A. in Baltimore, Maryland, we make ourselves available for our clients when they are facing foreclosure of their home, bankruptcy, personal injury or medical malpractice.

When you have a consultation at our law office, you meet with Nick Del Pizzo, a Baltimore lawyer, the founder of our firm. Your case is not passed off to a paralegal or less-experienced associate. You get the personalized attention you need from a local law firm.

Whatever your legal need is, we are there for you, seven days a week. Your case becomes our cause, and we will seek the best resolution possible.

Ready to Speak to an Experienced Bankruptcy Lawyer in Baltimore? 

The burden of overwhelming debt can be too much for anyone to handle. That is where we come in to help. At The Law Offices of Nicholas J. Del Pizzo, III P.A. in Baltimore, our knowledge of and experience with bankruptcy law can help you get that fresh start by wiping out your debts, reorganizing your finances or saving your home. Contact us today to learn more about filing for bankruptcy in Maryland.

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